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First up, tell us why you’re here

Tom Randolph & Shirley TarawaliLivestock CGIAR Research ProgramInternational Livestock Research Institute (ILRI)

Meetings to prepare the 7th MSP in Addis Ababa, Ethiopia, 8 to 12 May 2016,

Improving collaboration between research and private sector to accelerate livestock innovation for sustainability into use

Setting the Scene

Tuesday, 10 September 2019

Shirley TarawaliAssistant Director General

Tom RandolphDirector

• Research for development: working for better lives through livestock in developing countries and contributing sustainable transformation of smallholder livestock system and the SDGs

• Research on livestock health, genetics, feeds and forages; socio-economics, sustainable livestock systems, public health and nutrition

• Co-hosted in Nairobi, Kenya and Addis Ababa, Ethiopia

• Consolidates CGIAR livestock-related capacity at ILRI, ICARDA, CIAT together with Swedish Agricultural University and GIZ

• Targets smallholder households and informal markets to increase access to animal source foods and create added-value and employment for rural and urban poor through livestock.

Introducing Us

#LivestockAgenda

The POTENTIAL

#LivestockAgenda

o Much animal-source food produced in smallholder livestock systems in LMIC

o These systems can be key in meeting growing demand and achieving multiple SDGs (see GASL background paper on economic growth and livelihoods)

o The private sector – including ‘hidden middle’ – has greatest capacity and reach to support smallholders in increasing productivity and efficiency, including innovation to promote sustainability

Motivation for this session

The CHALLENGE

Motivation for this session

o Successful transformation will require linking research with private sector, but few, isolated examples of how this works

o Research ‘public good’ innovation may not offer incentives as a ‘private good’ for private sector

o Public-Private Partnership arrangements to create incentives face challenges

#LivestockAgenda

#LivestockAgenda

Framing the discussion

Specific subset of Public-Private Partnershipso Delivering innovation from research to enhance inclusive

sustainable livestock systems

o Demand-pull: private sector responding to opportunities needing innovation

o Supply-push: research offering innovation to scale

o As individual innovations (technologies, services, institutional arrangements) or as integrated packages

o Range of private to public goods

#LivestockAgenda

Framing the discussion

PRIVATE SECTOR: 3 main categories to consider

o Multi-national companies

o National and local commercial companies

o Mostly informal small/medium scale enterprises

Broad lessons learned

o Several reviews available (e.g. Rankin et al. FAO (2016). Public-Private

Partnerships for Agribusiness Development: A review of international experiences)

o Key messages for successful partnership• Assess motivation of each partner and identify where objectives align

• Define roles

• Co-invest

• Cultivate trust

o Seems simple, but tricky in application• A number of good examples

• But many failed attempts and opportunities missed

o GASL: the right place to explore this!

#LivestockAgenda

mailto:[email protected]

Flow of the session

o We hear real-life examples where it has and hasn’t worked from 6 colleagues representing private sector and research, and their advice ‘gems’• Margaret Munene, Palmhouse Dairies Ltd.

• Fabiana Villa Alves, EMBRAPA

• John Ellenberger, Land O’Lakes

o We ask your help in teasing out key lessons

o Then we ask a panel of investors to share their take • Antonio Rota, IFAD

• Chris Brett, World Bank

o Quick synthesis• Shirley Tarawali, ILRI

• Delia Randolph, ILRI

• Martin Barasa, VSF-Germany

• Sam Thevasagayam, Bill & Melinda Gates Foundation

• Belinda Richardson, Bill & Melinda Gates Foundation

• Andrew Bisson, USAID

• Donald Moore, Global Dairy Platform

WE INVITE YOU TO PARTICIPATE!Audio capture of our discussions and your MENTI replies

mailto:[email protected]



Lightning Talks

(5 minutes each)


Presenter: Dr Martin Barasa

Position: Regional Head of Program, VSF Germany


Improving collaboration between research and private sector to accelerate livestock innovation for sustainability into use Tuesday, 10 September 2019

Lightning Talk: Title: Delivering vaccines

Introducing me!

Who I am: Dr Martin Barasa, Regional Head of Programs at VSF Germany responsible for program development and programming strategies.

Our organization: VSF Germany mission is to support people in developing countries whose livelihoods depend on agriculture—especially livestock—in their endeavors to improve their living conditions actively. The organization currently works in 6 countries in the Horn of Africa.

What our organization does related to public-private partnerships to deliver research innovation for sustainable livestock systems

o Piloting innovations in collaboration with product developers through humanitarian assistance and development aid model

#LivestockAgenda

My example of a public-private partnership that worked

Title of the initiative: Piloting the use of thermostable vaccine to control NCD disease among rural small holder poultry keepers in South Sudan.

Purpose: The purpose of the project was to empower rural poor women through increased income from indigenous poultry production by reducing disease mortality.

How was it successful?

One of the key challenges experienced with indigenous chicken production was high mortality associated with frequent outbreaks of Newcastle disease. The problem was exacerbated by lack of access to NCD vaccine due to poor cold chain insfrastructure for the thermo-sensitive live attenuated strains of NCD vaccines.

Why? The thermostable vaccine made it possible to plan and carry out vaccinations without the need for an elaborate cold chain

• Critical factor 1: Innovative research product readily available for use and in high demand

• Critical factor 2: VSF Germany field operational presence and networks of community animal health workers providing service as part of humanitarian assistance.

• Critical factor 3: VSF Germany subsidzed the cost of the vaccines and provided incentives to the service providers

#Livestock Agenda

My example of a public-private partnership that didn’t work so well

o Title of the initiative: Improving livestock vaccines cold chain system through the use of solar powered fridges in hard to reach areas of South Sudan.

o Purpose: The purpose of the initiative was to improve access to livestock vaccines for better livestock healthcare management.

o How didn’t it work so well? The provision of solar powered fridges was acknowledged as an innovative solution for managing cost effective cold chain system at community level to achieve sustainability. Provisioning was arranged through a cost recovery system that dramatically failed as communities’ syndromic dependence on humanitarian assistance impaired cost-share plans on the account of high cost of solar powered fridges.

o Why? The cost-share plan was not attractive to communities despite the need for the services as the solar fridges were perceived to be too expensive.

• Critical factor 1: Comprehensive product, consumer engagements on costs, ownership and benefits

• Critical factor 2: Innovative product roll-out requires stable and functional governance systems to succeed.

#LivestockAgenda

My ‘gems’ of advice

o For investorsGem1: Align product development to critical technological need gaps for viable and sustainable solutions and design a fair user price to attract and sustain demand.

o For implementorsGem2: Conduct comprehensive cost-benefit analysis to demonstrate clear and tangible benefits of products to potential users to establish sustainable demand.

#LivestockAgenda

Presenter: Delia Grace Randolph

Position: Health Program Lead (joint) at ILRI



Can the Private Sector Pay for Public Health?Delia Grace, Sinh Dang and Fred Unger

Introducing me!

o Delia Grace Randolph

o International Livestock Research Institute

o ILRI & the private sector

• Long experience

• Wide range of partners

• Lots of promise; lots of high impact factor papers; little proven impacts

#LivestockAgenda

Rational Drug Use

BEFORE

Gave 30% more correct dosages

Had 10% more successful treatments

Had 10% fewer injection side affects

DURING

AFTER

Rational Drug Use

PP partnership that worked, wasn’t taken up the the private sector, but may be

o Rational Drug Use for Farmers

o In LMIC most vet drugs are given by farmers (untrained personnel)

o Giving simple, previously unobtainable, information on diagnosis, and dosage improved treatments and reduced drivers of drug resistance

o Why? – the success of the intervention• One of the rare cases when information does make a difference (genuine ignorance, desire to

change behaviour and opportunity to act)

• Win-win: better drug use, minimal cost (simple change to package), less resistance: we assumed private sector would deliver

o Why? – the failure of adoption• Drug companies did not take forward – small market, no one cared, disabling policy environment

• Now AMR has become a big issue. Could this proven approach come back from the dead?

#LivestockAgenda

BEFORE

DURING

lower faecal bacteria (p = 0.002) on

the grid carcass surface

AFTER

LATER

On GRID

PP partnership that worked, wasn’t taken up the the private sector, and then was

o On the Grid: off-floor slaughter of pigs

o Reduce the enormous burden of Food Borne Disease

o Why success? • Critical factor 1: Cheap, appropriate technology, tested effective

o Why private sector initially failed to continue using? • Extra work and incentive of safer pork and fewer sickness and death not compelling motivation

o Why private sector started using and invested in 15 more grids & other infrastructure? (9-12months after pilot ended)

• Grids & other visible improvements (e.g. clean and dirty zone) attracted major companies supplying pork to their workers’ canteens

• Transition to higher scale (before 30-40, now 80-100 pigs/day) made investment easier and pork quality more a priority

#LivestockAgenda

Conclusions

o For investorsResearch is still too supply driven

Improving human health is not a powerful incentive for the private sector

o For implementorsIt is not enough for interventions to be effective, low cost and acceptable

The time may not be ripe now but may come for private sector investment

#LivestockAgenda

If I spend somebody else’s money on

somebody else, I’m not concerned about

how much it is, and I’m not concerned about

what I get

Milton Friedman

Samuel Thevasagayam

Deputy Director, Agriculture Development, BMGF

Improving collaboration between public research and private sector to accelerate livestock innovation for sustainability into use

Lightning Talk:

Introducing me!

o Responsible for the livestock portfolio of investments

o At the Bill & Melinda Gates Foundation

o Overall goal: Inclusive Agriculture Transformation and Economic growth of poor people depending on Animal Agriculture. • Partner and invest in both public and private sectors - solutions needed by poor livestock owners

realize the potential of their livestock assets ....through a government enabled, private sector led market oriented approach

• Believe public sector critical for research that cannot be fully justified based on ROI; private sector is best suited to address customer facing aspects and deliver solutions

• Connect and align the objectives of the producer, private sector and public sector for sustainability

#LivestockAgenda

My example that worked: African Poultry Multiplication Initiative

o Purpose: to enhance productivity, household income, improve household nutrition and empower women.

Why?

Critical factor 1: Incentives aligned across all stakeholders

Critical factor 2: Brought together ‘best’ or ‘most suitable’ partners for each of the components

#LivestockAgenda

The model delivers sustainable value for all stakeholders

Hendrix Genetics

SAPPSA

ILRI &

U of E

Genetic Gain

NARS

Breed Testing

Brooder

Agents

Genetic Gain, Parent Stock Logistics System

Brooding and Production System

Multiplication and Delivery System

World Poultry Foundation

Technical Assistance

Usomi

Productivity Tracking

Acumen

Gender-Nutrition Impact

Tracking

Brooder

Agents

Brooder

Agents

Brooder

Agents

Brooder

Agents

Farm

ers

Ethiopia

EthioChicken

Tanzania

AKM and STL

Nigeria

Amo Farms

Uganda

ChickMasters

Mul

tiplic

atio

n

Com

pani

es

Other

Amo: parent stock rearing Amo: Incubation/ Hatching Brooding & Vaccination Farmer Training Noilers in NG

Ethiochicken – independent evaluation:

o >85 % household producers are women

o DPP >2x productive vs indigenous chicken in eggs: 30-50% sold, rest consumed

o Eggs = 20% higher price, 3.5x household income;

o Chicken = 30% higher price, >2x household income

My example that hasn’t worked so well yet: Adoption of solution at scale for control of porcine cysticercosis

Why?

• Critical factor 1: Didn’t fully anticipate market realities: who pays? who gains?

• Critical factor 2: Perhaps didn’t start with the end in mind and line up critical stakeholders to avoid delays in adoption at scale?

#LivestockAgenda

Cysticercosis - a public health issue

In 1993 it was identified as one of six potentially eradicable diseases

Joint FAO/ WHO Expert Meeting 2012: #1 of 24 food borne parasitic disease of global importance

University of Melbourne (Prof Lightowlers)Exceptionally effective vaccine• 99.5% and 100% (Mexico)• 100% (Cameroon)• 99.5% (Peru) • 99.3% (Honduras) • 94 to 100% (China and Peru)

My advice for public research and private sector based innovations

o For investors• Be clear about Development efforts vs Humanitarian efforts (Solve vs Help)

• Ensure the partner who is critical to sustain the desired outcome is in the driver’s seat

o For implementors• Start with the end in mind

• Don’t try to do everything. Stick to your expertise, bring the best of you and connect with others who are best at what is needed.

#LivestockAgenda

Fabiana Villa Alves

Senior Researcher – Embrapa/ Brazil



Lightning Talk: Embrapa and its partners for a sustainable long-term partnership

Introducing me!

o Who I am• FABIANA VILLA ALVES

o My organization• Brazilian Agricultural Research Corporation (Embrapa) / Brazilian Ministry of Agriculture,

Livestock, and Food Supply

o What my organization does related to public-private partnerships to deliver research innovation for sustainable livestock systems• We are a technological innovation enterprise focused on generating knowledge and technology

for Brazilian agriculture, through Technology Transfer (TT), Knowledge Exchange and Collective Knowledge-Building

#LivestockAgenda

Embrapa Technology Transfer

Public-private partnership Embrapa – Marfrig Foods

o Carbon Neutral Brazilian Beef and Low Carbon Brazilian Beef

o Strategic Alliance for Technology Development and Value Added to Agricultural Chain Products and Services

o How was it successful? • Technical and Financial Cooperation

Agreement

• Commercial License Agreement for jointly developed technology solutions

o Why? • high impact research theme

• commercial brand based on scientific findings

#LivestockAgenda

Public-private partnership Embrapa – «Another food processing company”

o Carbon Neutral Brazilian Beef and Low Carbon Brazilian Beef

o Strategic Alliance for Technology Development and Value Added to Agricultural Chain Products and Services

o How didn’t it work so well?• Several meetings and no concrete action

• «Jealousy»

o Why? • Bureaucracy

• Poor strategic view

#LivestockAgenda

My ‘gems’ of advice

o For investorsLook for reliable partners and believe in them!

o For implementersChoose a product/ programme with a strong «story telling»

#LivestockAgenda

Sixth Multi-stakeholder Partnership (MSP) meeting Panama 20-23 June 2016

THANK YOU!

OBRIGADA!

Presenter

John Ellenberger,

Executive Director, Land O’Lakes Venture 37


Lightning Talk: Purina Experience with Public/Private Research

#LivestockAgenda

Innovation drives Feed:

90+ PhDs and DVMs

95 years of continual animal nutrition research

$32+MM investment in our 1,200 acre research farm in past 15 years

20,000+ nutrition research studies

More than 130 patents granted

Purina uses basic research from the public-sector to support it’s new product research.

Bidco Land O’Lakes uses the “know-how” from Purina research to develop products for the Kenyan market

Public-Private Research That Worked

Land-Grant

Universities&

#LivestockAgenda

Introducing a new Calf Starter to the Kenyan Market

Education accompanies the Products- How to use the products- How to manage the animals that use the products

At Purina, we’re always asking…- What is reasonable? Matching the needs to the local level of management- What economic returns will this innovation provide to a farmer?- How can we deliver consistent formulation at the lowest price?

#LivestockAgenda

Extension StruggleOften a lack of government funding to support extension activities are the cause.

WATER !

Public-Private Roles That Don’t Work as Well

Other Public Sector Roles that need attention- Development of support infrastructure (Water points)- Market facilities- Water and power utilities for value-added processing

#LivestockAgenda

The Livestock sector and the resulting Animal Source Foods is complementary to the priorities of many donor agencies and national governments

- New uses and forms of agro-processing by-products as animal feeds.- More forages adapted to low rainfall conditions are needed.- Producer level knowledge gaps continue to be a factor, more livestock curriculum in schools and

more extension services are needed.

“Gems’

Discuss with your neighbor and choose your favorite on MENTI

Which ‘gem’ for investors do you think is the most critical? (4 minutes)

1. Align product development to critical technological need gaps for viable and sustainable solutions and design a fair user price to attract and sustain demand.

2. Ensure there is sincere demand for the innovation3. Don’t assume improving human health is a powerful incentive for the private sector4. Be clear about Development efforts vs Humanitarian efforts (Solve vs Help) 5. Ensure the partner who is critical to sustain the desired outcome is in the driver’s

seat6. Look for reliable partners and believe in them!7. The Livestock sector and the resulting Animal Source Foods should be

complementary to the priorities of many donor agencies and national governments


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Your Thoughts!

What is your ‘gem’ of advice for establishing successful collaboration between research and private sector?

Post it on MENTI

(4 minutes)


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Investor Panel


• Antonio Rota, IFAD

• Chris Brett, World Bank

• Belinda Richardson, Bill & Melinda Gates Foundation

• Andrew Bisson, USAID

• Critical success factors

• How do create more & better opportunities?

ANY REACTIONS?

Post on MENTI during the session

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Summing up


• Shirley Tarawali, ILRI

• Donald Moore, Global Dairy Platform

(3 minutes each)

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